Examining the Effect of 2023 Cash Crunch on the Poultry Egg Industry in Ogun State, Nigeria

Abstract

This study examines the effects of the 2023 cash crunch on the poultry egg industry in Ogun State, Nigeria. Data from 64 poultry egg farmers were collected and analyzed via structured e-questionnaires. Results show 83% of respondents were small-medium scale farmers and 73% used commercial feeds. Total egg production before (12,210 crates) and during the cash crunch (12,391 crates) did not significantly differ. Average feed cost per bag was ₦7,097 before and ₦7,151 during the crunch. However, average sales of 2,213,867 crates before and 199,437 crates during the cash crunch differed. A 36% cumulative decrease in egg price from ₦2,472 (December 2022) to ₦1,587 (March 2023) led to an 83% drop in daily farm revenue. The price fall did not boost egg demand. Coping strategies included increased delivery to customers (18%), gifting eggs (56%), and selling poultry birds (25%). The study recommends government grants and review of loan tenure for farmers while encouraging collaborative egg processing efforts. Additionally, it underscores the need for animal science research to explore methods for temporarily halting egg laying during economic challenges.